AGL: alleged breaches of the overcharging obligations

Instituted civil proceedings
Release date: 
16 December 2022
Related provisions: 

Rules 31(1), 31(2) and 31(3) of the National Energy Retail Rules and section 273 of the National Energy Retail Law.


On 16 December 2022, the Australian Energy Regulator (AER) instituted proceedings in the Federal Court alleging that AGL Retail Energy Limited and three other subsidiaries of AGL Energy Limited (together, AGL) failed to comply with the overcharging obligations in the National Energy Retail Rules.

The proceedings relate to AGL’s alleged conduct in relation to Centrepay payments deducted from customers receiving Centrelink payments.

The affected customers were using a portion of their Centrelink payments to help pay their energy bills but had stopped receiving services from AGL at the time of the alleged conduct.

The AER alleges that AGL, after becoming aware of overcharges, failed to:

  • notify the affected customers of the overcharges within the specified timeframe;
  • use its best endeavours to refund the overcharges within the specified timeframe; and
  • implement policies, systems and procedures to enable it to efficiently and effectively monitor its compliance.

The AER is seeking civil penalties, declarations, an order requiring the implementation of a compliance program and costs.